Key takeaways:
Bitcoin price maintains its bullish momentum, but a sentiment indicator suggests the market could be overheating.
Data highlights Bitcoin traders taking profits and a lopsided market angled toward longs.
Analysts warn of a potential short-term correction, especially if gold weakens or seasonal trends play out.
Optimism has returned to the crypto markets, and many traders believe Bitcoin (BTC) price is on the path to new all-time highs. In just one month, Bitcoin surged 39%, briefly crossing the $105,000 mark. According to Glassnode analysts, “there are signs of renewed market strength, and the market is trading within a profit-dominated regime.”
Still, not everyone is convinced the rally will continue unchecked. Some investors are already taking profits, pushing Bitcoin’s realized cap to an all-time high of $889 billion. Even more profit-taking is expected at the $106,000 level.
Historically, euphoric market sentiment